Monday, November 14, 2011

TWO MODULAR FACTORIES CASHING IN ON NORTH DAKOTA OIL

Custom Touch Homes in Madison, SD, and Superior Homes in Watertown, SD have contracted to build homes at their factories and ship them to North Dakota. Those contracts have boosted business for the companies and enabled expansion. It’s work both companies expect to continue for some time.

Drilling for oil in the massive Bakken shale formation has spurred an economic boom that has given North Dakota a near billion-dollar state budget surplus and the lowest unemployment rate in the U.S.It also has created a serious housing shortage as workers swarm the area from all across the country.

In Madison, Custom Touch built about 60 homes for the Williston area this year and next year plans to construct 100. Owner Scott Larson said South Dakota remains a focus, but work in North Dakota will account for about one-third of his company’s business.Custom Touch finished an expansion this year to its plant and has added employees as well. Since 2007, the company has grown from about 30 workers to 75.


Superior Homes, which has a location in Madison as well as Watertown, just finished a large project for the western North Dakota area that can house about 450 people.Similar to a hotel, the building features suites, a community laundry and a commercial kitchen area, said Allen Gordon, Superior Homes CEO. It was built in Watertown, shipped in 60 pieces and put together once it arrived.

“It’s great for South Dakota, it’s great for Watertown, it’s great for Madison, it’s great for the truckers, it’s great for the set crews,” Gordon said.To meet demand, Gordon said the Watertown plant has gone to a seven-day production cycle and added another shift and about 80 people to the production line. The company now has 170 employees.

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